, Emilio was involved in the accident at 2.10am.
Although police and firefighters said the incident happened at a private property, respected newspaper Jornal de Noticias claimed Emilio Ballack was reversing his quad out of the property when he had his fatal accident.
The paper said he is believed to have lost control of the vehicle during the manoeuvre out of the family villa and ended up underneath the quad on a public road.
His grandmother is said to have raised the alarm.
Firefighters had revealed that the the tragedy happened when the quad fell on top of the victim on land at the estate where he was staying.
An officer based at Grandola near Troia said: "I know the victim was the son of a well-known footballer but I don’t have details about who it was.
"The accident happened at the family home. The quad rider wasn’t on a public road and his was the only vehicle involved.
"The quad was on an uneven piece of land and at this stage it appears to have gone backwards and as it did fell on top of the victim and crushed him."
Efforts to revive the youngster at the scene were unsuccessful and he was declared dead at the location where the accident occurred.
GNR police based in Troia and paramedics were sent to the scene.
Jorge Santos, spokesman for the GNR police force in the city of Setubal, said: “An 18-year-old man has died following an accident at a private property in Troia.
“We received an alert shortly after 2am this morning. I am not at liberty to go into details about the identify of the man.
“I can confirm he was on the vehicle he had his accident in alone.”
He added: “The accident happened at a property on a residential estate called Vilas do Mar in Troia.
“The incident is now under investigation and there is nothing more we can say.”
Trained counsellors are said to be helping the victim's family, who according to one emergency responder were in the house at the time.
The teenager’s body has been taken to the Institute of Forensic Medicine in the city of Santiago de Cacem, south of the scene, for a post-mortem.
On July 25, Emilio's brother Louis shared a series of photos to Instagram which included shots of quad racing.
He captioned it: "Quads where flipped, ferries where missed, new taste buds where explored and injuries were common."
Michael Ballack picked Portugal to rest and recover after having a tumour removed from near his spinal cord last year.
The former Chelsea and Germany midfielder had a growth discovered on his body during an MRI examination by doctor, according to Bild.
The early detection proved fortunate for the 44-year-old and the tumour was removed before lab examinations cleared Ballack of any fears the growth was cancerous.
The former footballer has yet to make an official comment on this morning's fatal accident.
German Ballack is widely regarded as one of his homeland’s best-ever players.
He joined Chelsea in 2006 and won honours in his first season at the club.
He left Stamford Bridge after playing part of a league and cup double in 2010.
Unsurprisingly there has been an outpouring of emotion on social media after the news broke.
And Michael's former club Chelsea were one of the first to pass on their sympathy.
The London club tweeted: "Everybody associated with Chelsea Football Club is shocked and saddened to learn of the death of Emilio Ballack at the terribly young age of 18.
No words, so so sad and painful, thoughts to Michael and all his family and friends.
"All our thoughts are with his father Michael and his family at this sad time."
Many Chelsea fans tweeted out their sympathy and support for the Ballack family, describing it as 'heartbreaking news'.
Blues fan Alex Goldberg tweeted: "Huge thoughts & prayers out to
@Ballack & his family during this extremely heartbreaking time."
Chelsea blogger Simon Phillips tweeted: "Oh my, the devastating news about the passing of Michael Ballack's son has just reached me.
"No words, so so sad and painful, thoughts to Michael and all his family and friends."
Emilio had previously posted photos of the sun setting on a Portuguese beach over the weekend as well as another snap of Comporta Beach Club, a trendy hangout near the scene of this morning's crash.
The Troia Peninsula, opposite Setubal where Jose Mourinho hails from, is one of the most beautiful coastlines of Portugal with an eight-mile stretch of pristine sands and crystal-clear waters.
The main tourist development of Troia is to the northern tip of the peninsula.
Local reports said the accident happened near an apartment block known as Villas do Mar.
Emilio is one of three children the former Chelsea and Bayern Munich player had with Simone Lambe, the long-term girlfriend he married in July 2008. They divorced in 2012.
Footballing legend Michael Ballack shows he's still got skills with target challenge